Chiefs Of Dominion Resources, Va. Power Delay Retirement

Feud Had Prompted Scc Investigation

September 16, 1995|By KEN BAKER Daily Press

Virginia Power and its parent company, Dominion Resources Inc., announced Friday that the companies' two top executives - whose much-publicized feud last year prompted a state investigation into the public utility - will stay on the job for up to three years.

The boards of DRI and Virginia Power asked Thomas E. Capps and James T. Rhodes to remain on board, a company statement said. Capps and Rhodes had said they would retire in July 1996.

Kenneth A. Randall, chairman of the DRI board's Organization and Compensation Committee, and William G. Thomas, chairman of the Virginia Power board's Organization and Compensation Committee, called the tenure extension "a strong vote of confidence" in the two men.

"With our companies in the midst of transition to a more competitive era, our boards concluded that both shareholders and customers would be best served by stability and experience in our executive leadership," Randall and Thomas said in a joint statement.

The extension of the executives' terms suggests the alleged board coups, attempted ousters and other divisive behavior between the men has subsided.

"Tom Capps and Jim Rhodes are working together in this effort and the boards are confident that they will continue to do so," Randall and Thomas said.

In April, the SCC issued a 200-page report on its investigation into "significant conflicts" between DRI and Virginia Power, by far the utility's largest subsidiary. The report listed a series of recommendations aimed at protecting customers and shareholders from possible "negative consequences" resulting from the high-level dispute.

SCC spokeswoman Andrea Leeman would not comment Friday on the announcement by DRI and Virginia Power.

Capps and Rhodes will continue for up to three years beyond the July 31 retirement date each had announced. Capps is chairman and chief executive officer of DRI and will reassume the title of president. Rhodes continues as president and CEO of Virginia Power.